Related companies worked with its lenders to modify the $1.2 billion loan on the Shops and restaurants in Hudson Yardslearned Commercial Observer.
German Bank and bank of china are the main lenders of the on-balance sheet loan, whose maturity date has now been pushed back by four years, sources said.
A related spokesperson confirmed the change on Friday.
“Hudson Yards stores have emerged from the pandemic as one of the strongest and most resilient retail destinations in the country, allowing us to successfully extend the loan,” the spokesperson said. . “This expansion supports our continued commitment to world-class retail and food and beverage, and enhances our ability to continue to make Hudson Yards New York’s most vibrant and exciting neighborhood.”
Deutsche Bank and Bank of China were also construction lenders on the 1 million square feet of retail in 2015, offering a $1.5 billion loan. The debt was then refinanced and its terms changed at the beginning of the month. A total of 14 lenders make up the existing debt lending syndicate.
Shops and restaurants at Hudson Yards, 20 yards from Hudsonconnects the two office towers to 10 yards from Hudson and 30 yards from Hudson. The sales area was designed by Fox by Kohn Pedersen and Elkus Manfredi Architectsand opened in March 2019.
As COVID-19 swept through the United States and retail stores were particularly hard hit, the high-end mall’s anchor tenant was one of the first big casualties.
Neiman Marcus originally anchored the seven-story mall — leasing 188,000 square feet on the mall’s top three floors as New York’s flagship store — but was also the first department store to file for bankruptcy during the coronavirus pandemic. As part of its May 2020 Chapter 11 proceeding, Neiman Marcus announced it would be closing its Hudson Yards store, just 16 months after the store opened, laying off around 257 employees in the process.
Neiman Marcus space is now, however, be transformed into offices, Associate CEO Jeff Blue told Bloomberg last month. Sources told CO that Related will soon announce new tenants for the space, which features large floor plates – plus a private ground floor entrance and 18ft ceilings. — thanks to the nature of its former occupant.
These tenants will be in good company, as the 10 and 30 Hudson Yards office towers are currently 95% occupied and command the highest rents in the city. Office rents at Hudson Yards averaged $130 per square foot last year, per Savills data, with the Plaza District North in second place at $109 per square foot.
The asset has also seen a flurry of retail rental activity lately. In February, Louis Vuitton opened an independent store on the property, having previously had a location in the Neiman Marcus Outpost. Other recent leases include Ana Bar and Restaurant, while Intimissimi, Calazedonia, Studs and Companion Hairdresser and they should all open in the next few weeks, by signage in the property.
Cathy Cunningham can be contacted at [email protected]